The oil and gas industry is facing a challenging year. Oil prices remain volatile, and uncertainty remains about whether prices will recover from around $50/bbl. Across the upstream sector, companies are considering their next investments, while weighing up how to remain profitable in the current climate.
According to Martin Kelly, Wood Mackenzie’s head of corporate analysis, “The industry is very cautious right now and risk appetite is low. The upstream sector’s key priorities for 2017 include protecting the dividend and strengthening balance sheets.”